Caren v. Providence Heealth System-Oregon

Once an accepted injury is no longer the “major contributing cause” of a combined condition, an employer may reduce the amount they must pay in compensation by (1) proving the injury is no longer a “major contributing cause” and (2) issuing a written denial to the employee. ORS 656.262(7)(b); ORS 656.268(1)(b); ORS 656.266(2)(a).

Claimant appealed from the Court of Appeals’ affirmation that Employer was correct in reducing Claimant’s permanent partial disability payment by the amount Claimant’s preexisting medical condition (arthritis) contributed to the medical costs of her compensable injury. Claimant assigned error to the Court of Appeals’ holding that employers are not statutorily required to follow the specified method for calculating permanent partial disability described in ORS 656.286(1)(b). On appeal, Claimant argued that ORS 656.286(1)(b) is an exception which allows employers to reduce the amount they are required to pay for a compensable combined condition injury, so long as the employer writes a “written denial…when the accepted injury is no longer the major contributing cause of the…combined condition.” ORS 656.262. In response, Employer argued it is an employee’s responsibility to request that an employer accept the employee’s combined condition in order to be compensated for impairment due to a preexisting condition. Once an accepted injury is no longer the “major contributing cause” of a combined condition, an employer may reduce the amount they must pay in compensation by (1) proving the injury is no longer a “major contributing cause” and (2) issuing a written denial to the employee. ORS 656.262(7)(b); ORS 656.268(1)(b); ORS 656.266(2)(a). The Court found that, because Employer did not issue Claimant a denial, they could not reduce the amount of compensation owed to Claimant by the amount determined to have been attributed to her preexisting condition.

Reversed and remanded.